Value of Dispute Boards

On projects where dispute boards have been appointed, an impressive 98% of disputes are resolved at dispute board level. Of the 2% of disputes where one of the parties did not accept the board’s decision and proceeded to arbitration, almost all of the arbitrations supported the dispute board’s decisions.

Dispute Boards in MENA

The FIDIC forms of contract are the most widely used contracts for construction works in the Middle East and North Africa. These contracts have included provisions for the appointment of dispute boards since 1999, but the MENA region has been very slow to adopt their use.

Types of Dispute Boards

Under some forms of contract the dispute board is appointed at the onset of the project and paid a monthly retainer for becoming familiar with the project, the contract and for keeping abreast with progress and events. The board is appointed when either party wishes to refer a dispute and is usually referred to as an ad-hoc dispute board.